The Casino gaming business in Sri Lanka is regulated by the Casino Business (Regulation) Act 17 of 2010 (“Act”). Nearly 12 years after its enactment, the Minister of Finance has issued Casino Business Licensing Regulation No. 1 of 2022 (“Regulation”) giving effect to the provisions of the Act. A brief overview of the Regulation is set out below.
Matters taken into consideration when evaluating an application
- Minister shall consider the financial background of the applicant, and whether the applicant or its shareholders possess/control adequate assets or financial resources to ensure the financial viability of the Casino Gaming business.
- The contribution to the economy and promoting Sri Lanka.
License Fee
- License fee for a new license or for the renewal of an exciting license is LKR 500,000,000/- and must be paid upfront.
- There is an option to apply for a period of multiples of 5 up to a maximum of 20 years provided that the total fee for the entire period is paid upfront.
Grant of License
- Upon evaluation of an application and proof of payment, the Minister may grant a new license to engage in casino gaming business, renew an existing license or refuse the grant or renewal of a license.
Compliance requirements applicable to licensees
- All licensees are required to appoint a compliance officer to ensure that the casino complies with all applicable laws and terms and conditions of the license.
- License holders must take all steps to prohibit inter alia soliciting for prostitution or any other illegal activity, unlicensed money lending, drunken or disorderly riotous behavior, illegal betting or gaming or any offence in contravention of applicable laws by employees, patrons or any other person within the casino.
- Minors are strictly prohibited from entering and measure are to be taken to prevent the same.
- Stringent regulations in relation to books, accounts and records along with audit regulations are now in force.
- Employ key employees who are reasonably fit and proper persons to hold such office and discharge the functions and duties.
